Darjeeling Tea Gardens

A notification banning blends of imported tea in GI-tagged teas has almost pushed Tata Consumer Products, the biggest buyer, out of the market

The shortfall in March and April has been exacerbated with the panic purchase of 50 million kg of existing inventory

The drop happens because the quality of tea produced declines towards the end of the season subsequent to supply-demand situation

Work has resumed after a long suspension because of the Gorkhaland agitation, but producers' problems are far from over

After an estimated loss of Rs. 400 crore this year on account of suspended operations for a little over three months, the 87 tea gardens in the Darjeeling region will have to shed a combined Rs 60 crore as bonus payment to workers, even as there are no clear signs of operations resuming in the estates.On Friday early morning, after prolonged bargaining and and a tripartite meeting in Siliguri, the tea trade unions (TUs), the West Bengal government and the industry associations - Indian Tea Association (ITA) and Darjeeling Tea Association (DTA) -- reached an agreement to pay an estimated 100,000 workers bonus at 19.75 per cent.The larger groups have multiple gardens in the Darjeeling-Dooars area and in Assam; they should have the capacity. Single estate owners, 30 per cent of the Darjeeling tea industry, will be hard hit. Industry sources said an estimated 60 gardens had authorised ITA and DTA to negotiate and discuss when operations could be resumed. It is thought that the other 27 ...

As soon as the estates reopen, it will take at most five days for the gardens to initiate sales

A political resolution to the months-long protest for Gorkhaland statehood could be around the corner as the West Bengal government and the major Hill parties have started a dialogue, but it is unlikely to end the woes of the 87-odd tea gardens in Darjeeling. The gardens, whose cash flows have been severely hit owing to total crop loss of the second flush, could see labourers press for high annual bonuses as soon as the operations resume. According to industry sources, plantation workers have not been able to earn for over 70 days now because of the Gorkhaland agitation, and this could prompt them to demand hefty bonuses to compensate for their interim loss.Around 1,00,000 permanent workers in Darjeeling tea gardens are paid daily wages, which are disbursed on a weekly basis. In case a labourer doesn't go to work, he or she doesn't get any wages, according to wage rules.The Payment of Bonus Act, 1965, stipulates that irrespective of the allocable surplus cash by any company, a ...

The problems of the 87-odd gardens in Darjeeling, closed for over 70 days now, is poised to worsen after they reopen. On the one hand, every garden's cash flow is hit owing to the total crop loss of the second flush and on the other, as the gardens resume operations, labourers are going to press for the annual bonus.Industry sources are sceptical that since the plantation workers have not been able to earn for over 70 days now, they are going to press for higher bonus to compensate for their interim loss.As per legal provisions, around 1,00,000 permanent workers in the Darjeeling gardens are paid daily wages which is disbursed on a weekly basis. However, the rules state that in case a labourer doesn't attend to his or her duties, the person doesn't get any wages.The Payment of Bonus Act, 1965 stipulates that irrespective of the allocable surplus cash by any company, a minimum 8.33 per cent bonus has to be paid to the workers every accounting year. The maximum permissible, under the ...

After losing its 2nd flush harvest, Darjeeling tea gardens will miss out on contracts with EU, US